Home equity loan

Term for Repayment of the Loan	Up to 30 Years The period of the loan is determined individually, by evaluating each case separately.
Monthly Instalment of the Loan	May not Exceed 40% of Your Net Income together with your other loan and leasing payments On the date specified by you, loan repayment takes place automatically from your current account in SEB bank.
Preconditions for the Receipt of a Loan	Stable, Regular and Sufficient Income for the Performance of Loan Liabilities Bank evaluates your declared income: salary, income from the economic activity, rent, etc. Positive Borrowing History Prior to granting the loan, your previous financial liabilities will be evaluated. Positive borrowing history consists from prompt performance of liabilities. Collateral on the Loan Bank evaluates the condition and market value of the property.
Loan Repayment	Early repayment of the loan is possible without additional fee.
Nine Steps for Receipt of the Loan	1. Consultation Apply for a free financial consultation about the loan. During the consultation, we will discuss your needs in order to offer the most appropriate financial solution. Remember to bring your passport or ID card, when you come for a consultation.
	2. Property evaluation You should obtain a valuation of the property from a certified valuer. You can also apply for a valuation by a certified property valuer at the branch of the SEB bank.
	3. Loan application Fill in the loan application in the internet bank or at the branch. In addition, you will have to submit: Property evaluation; The printout of the bank account for the past 6 months (if your income is not transferred to the account with the SEB bank) and other documents supporting your income; Other documents, if required, for evaluation of the specific transaction. Upon your arrival at the branch, you and your guarantor will have to present passports or ID cards. The information you provide must be accurate and complete in order for us to be able to evaluate your ability to repay the loan and so that we could make a decision on granting of the loan.
	4. Bank's offer Evaluate terms and conditions of the loan offered to you according to the goal and collateral specified in your application.
	5. Loan agreement Before signing of the agreement, the terms thereof are discussed with SEB bank specialist. Sign the loan and pledge agreement with SEB bank. In order to reduce risks linked to loan repayment, use loan payment insurance.
	6. Signing of the request for corroboration at the notary Sign the necessary documents at the notary who certifies documents to be submitted to the Land Register.
	7. Registration of the mortgage in the Land Register Submit your documents to the Land Register.
	8. Insurance of the property Take out an insurance policy for the pledged property in SEB bank. You will be required to renew the insurance policy regularly as it needs to be valid throughout the loan repayment term. AS “SEB banka” shall be indicated therein as the recipient of the indemnity.
	9. Loan disbursement Wait for the message from your transaction manager regarding loan disbursement. After the terms and conditions have been fulfilled, the bank shall disburse the amount specified in the loan agreement according to the terms and conditions of the agreement.
Additional Information	Terms and conditions of the loan may differ for each transaction. Amount of the loan, repayment term and other terms and conditions are evaluated according to the purpose of the loan, value of the collateral, and paying capacity of the customer.

The Amount of the Monthly Instalment

The sum of the monthly instalments depends on several factors:

The amount of the interest rate and fluctuations thereof - the lower the interest rate, the lower the monthly instalment;
Period of the loan — the longer the term, the lower the monthly instalment.

Schedules of loan repayment

Annuity payments: during the validity term of the loan agreement payments of the principal sum and interest are separated into as equal payments as possible. Amount of the monthly instalment will be constant in the respective period of the interest rate change.

Linear payments: payment of the principal sum remains constant during the validity term of the loan, but interest is calculated from the unpaid part of the loan.

The Interest Rate of the Loan

Variable interest rate will be applied to your loan, consisting of:

Base interest rate - variable part of the interest rate. You will be able to choose either a short-term or a long-term interest rate.
- Short-term interest rate is determined for 3, 6, 12 months. It is usually lower than a fixed rate, but it fluctuates depending on the market situation (every 3, 6 or 12 months respectively). It will be more difficult for you to plan your expenses, but in the case of a favourable market situation you might be the winner.
- Long-term interest rate is determined for a period of 2 to 5 years; usually it is higher than the variable rate, but remains constant for a longer period of time. Thus you can reduce your risk, because the interest rate cannot change frequently.
Information on inter-bank rates (money value in the market)!
Margin rate - fixed part of the interest rate, and main criteria for the determination of the amount of the interest rate are:
- Stability of income and the capacity to prove it;
- Previous cooperation with SEB bank, performance of liabilities;
- Total amount of liabilities;
- Collateral on the loan — market value of the property.

Related Costs

One-off costs

Bank-related expenses:

Commission fee for the processing of the loan (documents) in accordance with the SEB bank price list of.

Non-Bank-related expenses:

Real estate evaluation;
Notarial services (drawing up requests for corroboration in order to change the ownership rights and registration of mortgage, etc.);
State fees and stamp duties for registration of the mortgage in the Land Register.

Repeated costs

Real estate insurance;
Loan payment insurance (if the service is used).

Loan payment insurance

In order to avoid unplanned financial losses and protect the relatives from taking over of loan liabilities in situations when unexpected difficulties with loan repayment arise, we offer loan payment insurance.

The monthly insurance payment, starting from 5 EUR, provides an opportunity to receive insurance indemnity in situations involving your involuntary unemployment or temporary disability, as well as allows you to save your property because the insurer will cover the loan balance in the event of your permanent disability or death.

Property insurance

For your convenience, we offer to insure your property at our partner If P&C Insurance AS Latvijas filiāle. To find out more about the insurance options and special offers, call +371 26668777.

Insuring your home results in you gaining security as well as an opportunity to avoid unexpected financial losses that might arise from theft, fire, a water-supply system accident or other accidents.

Please, make sure that the prepared property insurance policy meets the following criteria:

The sum insured of the real estate and equipment equals the restoration value or the actual value thereof, if the object is being depreciated;
Real estate has been insured, including the bearing structures and finishing;
Risks insured: fire, natural disasters, failures of engineering technical communications, theft and robbery, or coverage of all construction risks, if construction or reconstruction works take place in the object;
AS SEB bank, reg.No. 40003151743, is specified as recipient of Indemnity, receiving the insurance indemnity to the amount of outstanding loan liabilities upon ocurrence of insurance event;
A deductible has been set at your choice; however, it may not exceed 10% of the sum insured of the pledged property.

Please send the renewed insurance policy to e-mail address apdrosinasana@seb.lv or deliver it to any SEB bank branch by the expiry date of the current insurance policy.

Benefits of insuring property at If:

Compensation for damages caused by mild negligence, such as leaving a candle burning or leaving an iron on, without seeking formal reasons for refusal;
0% deductible if a vandal breaks a window, a failed intrusion attempt has happened or a fire broke out and a smoke detector has been installed;
24-hour assistance for customers;
Insurance indemnity is usually paid within 2 working days after receipt of the documents;
By choosing insurance of household objects, your belongings in the yard or on balcony will also be insured. For example, when a robber steals your gas grill, tires from a garage or wind damages your trampoline;
Theft of up to 5000 EUR from a bank card is compensated;
Your belongings will be insured even outside of your property, for example, when a bicycle is stolen from a stand.

Information about the distributor of insurance products (LAT)

You may apply for a loan or consultation in any SEB bank branch or by calling +371 26668777, or by using Skype: SEB_Latvija.

Apply in internet bank

A consultation with a private advisor of SEB bank may prove useful to you in order to find out the amount of the loan that you could receive, to discuss the most appropriate types of payment, as well as to receive answers to your questions in relation to the loan.

	In force from	In force to
Secured loan application	25.05.2018	In force
Co-borrower’s/guarantor’s application	25.05.2018	In force

Services	Fees
Revision of the application	Free of charge
Processing of the loan, increasing (% of the granted amount)¹	1,5%, min 75.00 EUR
Repayment of the loan before maturity	Free of charge
Other changes on the customer's initiative (% of the loan balance)¹	0,9%, min 70.00 EUR
Changing of the loan repayment account¹	15.00 EUR
Preparation, drawing up or approval of documents if the loan is refinanced to another credit institution	700.00 EUR
Preparation, drawing up or approval of documents if the pledged immovable property is being sold and if the transaction is financed by another credit institution	700.00 EUR
Uninsured collateral fee²	10.00 EUR per month
Additional services
Valuation of collateral	By agreement
Preparation, processing and approval of bank's consent upon the customer’s request	By agreement, min 70.00 EUR

¹ The commission fee must be paid on the day the agreement or amendments are signed.

² The fee is charged if the collateral is not insured for more than 30 days.

One-off costs

Repeated costs

Benefits of insuring property at If:

Additional information

Contacts